Question

The Sommers invested $5000 for three years at 6.5%. How much interest did the investment earn in three years? What was the total amount of the account after three years?

Answer 1

1.)$975.00

2.$)5,975

Explanation:

5,000*3*6.5=975.00

5,000+975=5,975

Hope this helps :)

Answer 2

the interest is $975

the total amount is $5975

Explanation:

lets use tje formula

I=PRT

where I is interest earned

P is the principal amount(original amount)

R is the rate of interest

and T is the time in years

so

the principal amount is 5000 since it is the original amount

rate is
`(6.5)/(100)`=0.065

time is 3 years

lets plug these values into our equation:

5000*0.065*3=I

5000*0.065*3=975

the interest is $975

the next part of the question is asking for the balance or the total amount which is principal+interest

5000+975=5975

the total amount or balance is $5975

hope this helps